Mayor questions Royalties for Regions' return

There has been a call for the State Government to rethink the way it allocates funding under its Royalties for the Regions program.

Almost $5 million was announced last week for two western Queensland shires under the program.

Those shires have exploration and development activities but no operational mines.

Isaac Mayor Anne Baker says her shire has 29 coal mines and contributes more than half of the state's coal royalties but has received just $750,000 under the scheme.

She has questioned whether that is a good return on investment.

"Well I think the facts speak for themselves," she said.

"To have 29 functioning coal mines, they are the facts.

"I just look forward to seeing a fair and reasonable distribution of this bucket of money.

"When you are living in a local government area that is delivering over 50 per cent of the royalties to the Government - so that is the royalty money that is funding this bucket of money - I guess I would just like to see our local government area, and our wider region that is predominantly propping up and delivering the economics to the state, to be reimbursed in an appropriate and reasonable way."

'Competing priorities'

Transport Minister Scott Emerson says the benefits of the mining sector should be shared but there are competing priorities.

He says there is only a limited amount of money.

"We started [the] Royalties for the Regions program - before we came to office there wasn't that kind of program at all," he said.

"So the fact that it exists, it is an acknowledgement that those regions deserved greater funding and more consideration, more focus.

"But again, it is always about governments having to make choices, having to look at competing priorities and we do the best we can with the amount of money that we have got."